The confusion caused by the new Tax and Jobs Act of 2017 brought about changes for taxpayers which prevented many supporters of UMD from making a charitable contribution to a cause they believed in and wanted to support. Two of the more important changes included the doubling of the standard deduction amount and the reduction or elimination of the mortgage interest deduction and the state and local tax deduction over a certain amount. By doubling the amount of the standard deduction fewer donors were able to itemize deductions which you must do in order to deduct charitable contributions from your taxes.
In order to maximize the impact of your charitable contributions to UMD Funding The Future Endowment Fund held at the Cleveland Foundation, while complying with the new tax law you may want to consider the following strategies:
Bundle Your Donations:
One way to go beyond the standard deduction is to “bundle” the total charitable donations which you would have made every two or three years into one. By doing so you can still give to the UMD Endowment Fund and keep your tax benefits as well.
Donate Appreciated Stock:
Given the bull market we have experienced over the past 10 years you may have appreciated securities which you can donate including stocks, bonds, and mutual funds. By doing so you receive a charitable tax deduction for the full market value of the security and avoid paying a capital gains tax. Both you and UMD benefit as you lower your tax liability while UMD grows its Endowment.
IRA Charitable Rollover:
For those donors age 701/2 and older, you may make a qualified charitable distribution from your IRA by donating the Required Minimum Distribution (RMD) you must take every year directly to the UMD Endowment Fund. Donating all or part of your RMD enables you to reduce your taxable income and possibly lower your overall tax bracket and tax bill.
UMD needs your help. By making a charitable donation to the Funding The Future Endowment Fund you can help guarantee the work done to safeguard the rights of all Macedonians around the World will continue for years to come.
For questions and/or instructions about making a charitable contribution to UMD, please contact Metodija Koloski at 202-350-9804 or by e-mail at firstname.lastname@example.org or Donald Sazdanoff at 419-884-8309 or by e-mail at email@example.com. The Cleveland Foundation staff is also available to discuss gifting ideas with you. Please feel free to contact a member of the Cleveland Foundation Advancement Team at 216-685-2006 or toll-free at 877- 554-5054.